Might sound like a strange topic given this is a property management blog. But, it made me think of something that is happening more and more in our business.
The real reason I post about it is three part. 1. It is happening more and more that residents are approaching us with the idea of finding a replacement resident to take over their existing lease term. The driving reason being to avoid the lease break fees. 2. We are letting them do it. 3. I would love to know your thoughts on the subject.
In the month of May alone we did four transactions where residents posted Craigslist ads, found a prospect and brought them to us. We ran the credit, collected the fees, signed the appropriate paperwork and off they went.
We started charging a $300 fee for such an action and it has not slowed the number of people doing it. Given the alternative equates to nearly 4 months rent, I would do it too.
What thoughts do you have about such a service? I call it that because that is what I think it is.
Oh yeah, CellSwapper looks cool too.
Oh yeah, yeah, Bzzagent is very cool too.
M
0 Responses
I’ve been hearing about this in more and more markets. Seems the residents have more time than we do to refresh the Craigslist ad, thereby gaining more eyeballs to their listings.
Have you looked at the listings to see how they differ from yours? I’d like to see a side by side comparison. Perhaps it’s because it’s a third party who lives at the property vs the property itself that the ad carries more credibiity? Who knows? I’d like to see the ads.
Doesn’t quite seem feasible for lease agreements.
From what I can see, Cellswapper.com is able to take advantage of a clause in wireless contracts that allows the owner to find another party to completely takeover the contract.
I don’t think a similar clause exists in lease agreements, nor do I think that the average landlord would be happy about a contract swap without their approval.